Amount of deduction
Sec. 28. (a) Subject to this section, the amount of the deduction
which the property owner is entitled to receive under this chapter for
a particular year equals the product of:
(1) the increase in the assessed value resulting from the
remediation and redevelopment in the zone or the location of
personal property in the zone, or both; multiplied by
(2) the percentage determined under subsection (b).
(b) The percentage to be used in calculating the deduction under
subsection (a) is as follows:
(1) For deductions allowed over a three (3) year period:
YEAR OF DEDUCTION PERCENTAGE
1st
100%
2nd
66%
3rd
33%
(2) For deductions allowed over a six (6) year period:
YEAR OF DEDUCTION PERCENTAGE
1st
100%
2nd
85%
3rd
66%
4th
50%
5th
34%
6th
17%
(3) For deductions allowed over a ten (10) year period:
YEAR OF DEDUCTION PERCENTAGE
1st
100%
2nd
95%
3rd
80%
4th
65%
5th
50%
6th
40%
7th
30%
8th
20%
9th
10%
10th
5%
(c) The amount of the deduction determined under subsection (a)
shall be adjusted in accordance with this subsection in the following
circumstances:
(1) If a general reassessment of real property occurs within the
particular period of the deduction, the amount determined under
subsection (a)(1) shall be adjusted to reflect the percentage
increase or decrease in assessed valuation that resulted from the
general reassessment.
(2) If an appeal of an assessment is approved that results in a
reduction of the assessed value of the redeveloped or
rehabilitated property, the amount of any deduction shall be
adjusted to reflect the percentage decrease that resulted from
the appeal.
(3) The amount of the deduction may not exceed the limitations
imposed by the designating body under section 23 of this
chapter.
(4) The amount of the deduction must be proportionally reduced
by the proportionate ownership of the property by a person that:
(A) has an ownership interest in an entity that contributed;
or
(B) has contributed;
a contaminant (as defined in IC 13-11-2-42) that is the subject
of the voluntary remediation, as determined under the written
standards adopted by the department of environmental
management.
The department of local government finance shall adopt rules under
IC 4-22-2 to implement this subsection.
As added by P.L.59-1997, SEC.1. Amended by P.L.119-1999, SEC.9;
P.L.90-2002, SEC.285.
Last modified: May 28, 2006